Law for Business 12th Edition by James Barnes,Terry Dworkin,Eric Richards

Exercise 6

The Races bought a mobile home from Fleetwood Retail Corp. They had a lot in mind, but Fleetwood convinced them to buy a lot from it, telling the Races that lots were scarce, others were looking, and it would be off the market. Fleetwood assured the Races that it had checked with a contractor regarding the feasibility of putting the trailer on the lot. When the Races' contractor tried to get a septic permit, it was denied because the lot was too small for their trailer; it turned out to be smaller than Fleetwood represented. The Races sued for breach of the obligation of good faith and fair dealing. Explain why they should or should not be successful.